WMT Trade on Jan 15, 2021 10:18 from tradelikelarry: Tradervue User Stock Trades.

Trade Planning:

• Daily Chart: Uptrend, Consolidation below ATH.
• TTM Squeeze: Daily
• Earnings Date: 2/18
• IV: 28%
• Potential Profit: $310
• Potential Loss: $858

Reason For Entry:

• Playing the Daily chart, Put Credit Spread. WMT has pulled back down to its support level as it has consolidated under its ATH for 2 months now. We have a TTM squeeze on the daily which indicates momentum is building. We are betting that price action continues to consolidate above our profit level ($140) or make a move to new ATH by expiration on 2/5.

Reason For Exit:

• Closed WMT signal for a 92% profit. This spread expires tomorrow if you plan to hold through expiration.

Recap:

• The pattern was correct as price action was in a pattern of consolidation below its ATH and a TTM Squeeze was developing on the daily. We were betting that price action would continue to consolidate above our profit level or make a move to new ATH by expiration. Price action held above our profit level and we profited +$292 on the trade.